EXHIBIT 10.33
XXXX X. XXXXXX
CHAIRMAN, PRESIDENT, AND
CHIEF EXECUTIVE OFFICER
April 11, 2000
Xxxxxx X. Xxxxxxxx
Horizon Group Properties, Inc.
00 Xxxx Xxxxxx Xxxxx, Xxxxx 0000
Xxxxxxx, XX 00000
Dear Xxxxxx:
As you are aware, Horizon Group Properties, Inc signed a sales contract
with Triple Net Properties, LLC on March 24, 2000, for the purchase of seven of
our properties (i.e., Laughlin, Medford, Warrenton, Lakeshore, Xxxxxxx, Xxxxxx
and Dry Ridge) for $93.5 Million.
Your 1999 employment letter provided for a Success Bonus if the sales
proceeds in excess of mortgage debt on the properties was at least $40 Million.
Since the sale to Triple Net failed to hit the $40 Million threshold as provided
under your 1999 employment letter, the amount, if any, payable to you was
discretionary. This letter supplements your 1999 employment letter by providing
you with a guaranteed Success Bonus if the Triple Net sales contract closes. In
determining the Success Bonus for this transaction, the company has taken into
consideration the fact that the contract was executed prior to March 31, 2000.
You will be paid a total Success Bonus of $50,000 within thirty (30) days
following the Triple Net transaction closing date if the transaction closes and
you have not resigned prior to the closing date.
Additionally, if some or all of the balance of the portfolio should be
sold on or before December 31, 2000, you have not resigned prior to that date,
and the total sales proceeds for all properties sold less the outstanding
mortgage debt on those properties should be greater than $40 Million, you will
receive the difference between the Success Bonus provided in you 1999 employment
letter and what you received as a Success Bonus on the closing of the Triple Net
transaction.
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April 11, 2000
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This letter supplements rather than replaces your 1999 employment letter.
The severance benefits provided in Section 3 of your employment letter shall be
paid to you if you are terminated for any reason other than cause on or before
December 31, 2000.
Finally, I want to thank you for your past and continuing efforts on
behalf of the company. Please sign and retain this original and return one copy
of this supplemental letter agreement to me.
Sincerely,
/s/ Xxxx X. Xxxxxx
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Xxxx X. Xxxxxx
Chairman, CEO and President
APPROVED AND ACCEPTED BY:
/s/ Xxxxxx X. Xxxxxxxx
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